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Kirchhofer becomes the first global luxury goods giant to set up HQ on Hainan

The Kirchhofer company was founded in 1944

HAIKOU, September 28. /TASS/. The Kirchhofer company, which sells prestigious Swiss watches and luxury goods globally, will be the first overseas representative of international luxury brands to be headquartered in China — on the Island of Hainan, reported www.hinews.cn

According to the news outlet, the decision to establish a HQ in Hainan's free trade port was made by the leadership of this cross-border commercial enterprise at the end of last week. The province's International Economic Development Office then signed a strategic cooperation agreement with Kirchhofer online, in which both sides "expressed mutual intention to promote the formation of an international consumer zone on the island."

“We are attracted by Hainan's free trade port development strategy as well as local investment opportunities,” explained Kirchhofer CEO Stephan Linder. He expressed confidence in the successful development of his company's business on the Chinese market, pinning high hopes on the prospects for the island's free trade zone.

Linder believes that Hainan is the most suitable region for a start in conquering the Chinese market.

"We thought carefully about the corporate strategy before deciding on [it] our choice," the director clarified.

He noted that the leadership of Kirchhofer seriously thought about creating a headquarters on Hainan back in July, when the provincial authorities increased the quota for purchasing goods in local duty free shops from 30,000 to 100,000 yuan (approximately $ 4,400 - $ 14, 600 at the current exchange rate). "This strategy [of the Hainan government] has given us a great opportunity," Linder said. "I believe China will remain the largest consumer market for luxury goods in the world for at least next 15 years."

The Kirchhofer company was founded in 1944 and officially represents over 120 Swiss watch brands. This family-owned company has a fairly strong position on the international market in the segment of jewelry, luxury leather goods, quality cosmetics, prestigious gifts and expensive souvenirs.

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